Construction of hundreds of apartments above a Costco location underway

A unique Costco concept is coming to Baldwin Hills, South Los Angeles, with 800 apartment units above it. This neighborhood, known for a poverty rate 25% higher than the national average according to Census Reporter, will soon have a mixed housing complex with 184 apartments designated for low-income households. The remaining units will be a combination of unsubsidized, affordable, and workforce housing, with luxurious amenities like a rooftop pool and fitness center.

The Costco below will span 185,000 square feet with underground parking spread across two levels. Compared to the average size of a Costco in the U.S. at 146,000 square feet, this location will be above average in size, offering a unique shopping experience.

Real estate developer Thrive Living is gearing up to start construction on this innovative apartment-Costco property in early 2025. This project, as reported by the Wall Street Journal, will be the first of its kind in the country.

Founder Ben Shaoul of Thrive Living mentioned that Costco will pay rent for the space, helping to reduce the need for government subsidies for the affordable housing units within the complex. If successful, Shaoul aims to replicate this model to build thousands of apartments annually.

Costing an estimated $425 million, the Costco apartment complex is projected to be completed by 2027, creating numerous job opportunities during its construction phase. Additionally, the approval for this project under Assembly Bill 2011, also known as the Affordable Housing and High Road Jobs Act, showcases California’s commitment to expediting the approval process for projects that align with affordability and labor standards.

As the first project approved under this new law, the Costco apartment complex in Baldwin Hills represents a significant step towards innovative and sustainable housing solutions. With thousands of jobs expected to be created during construction and the opening of Costco, this development is poised to have a positive impact on the local community.



Source link